PTRVF - Avila Energy Corporation Announces a Private Placement Offering of up to $2400000 and Shares for Debt transactions
(TheNewswire)
Calgary, Alberta, June 14, 2024 – TheNewswire – Avila Energy Corporation (“ Avila ” or the“ Company ” or “ Avila Energy ”), trading symbol, (CSE: VIK, OTCM: PTRVF and FRA:6HG0), is pleased to announce aprivate placement offering of up to $2,400,000 (the “ Private Placement ”). The Company also intends to issue shares to settle someoutstanding debt (the “ DebtSettlement ”).
Private Placement Offering
The Company intends to complete a non-brokered privateplacement consisting of the issuance of up to 80,000,000 units (the“ Units ”) at a price of $0.03 per Unit for gross proceeds of up to$2,400,000.
Each Unit is comprised of one common share (each a“ Common Share ”) in the share capital of the Company and one-half (1/2)common share purchase warrant (each a “ Warrant ”). Eachfull Warrant entitles its holder to purchase one additional commonshare at a price of $0.12 for a period of 24 months following theclosing. The Company may proceed to close in multiple tranches.
The Company may pay finder’s fees on a portion of thePrivate Placement, subject to compliance with the policies of theCanadian Securities Exchange (the “ CSE ”) andapplicable securities legislation.
Certain insiders of the Corporation may acquire Unitsin the Private Placement. Any participation by insiders in the PrivatePlacement would constitute a "related party transaction" asdefined under Multilateral Instrument 61-101 Protection of Minority Security Holders inSpecial Transactions (“ MI 61-101 ”).However, the Company expects such participation would be exempt fromthe formal valuation and minority shareholder approval requirements ofMI 61-101 as the fair market value of the Units subscribed for by theinsiders, nor the consideration for the Units paid by suchinsiders, would exceed 25% of the Company’smarket capitalization.
The proceeds of the Private Placement will be used forgeneral working capital purposes. The securities issued pursuant tothe Private Placement will be subject to a four-month-and-one daystatutory hold period in accordance with applicable securities law.
Debt Settlement Transactions
The Company also intends to settle outstanding debt ofup to $600,000 with various arm’s length service providers for legalfees, marketing services, social media account development and vegetation control by way of issuance of up to20,000,000 Common Shares at a price of $0.03 per Common Share.
The securities issued pursuant to the Debt Settlementwill be subject to a four-month-and-one day statutory hold period inaccordance with applicable securities law, where applicable.
ABOUT AVILA ENERGY CORPORATION
The Company is an emerging CSE listed corporationtrading under the symbol (‘VIK’), and in combination with anexpanding portfolio of 100% Owned and Operated oil and natural gasproduction, pipelines and facilities is a licensed producer, explorer,and developer of Energy in Canada. The Company’s long-term vision isto achieve through the implementation of a closed system of carboncapture and sequestration, an established path towards the materialreduction of Tier 1, Tier 2 and Tier 3 emissions and continues to worktowards becoming a vertically integrated Carbon Neutral EnergyProducer. The Company’s goals are to be achieved by focusing on theapplication of proven geological, geophysical, engineering, andproduction techniques in combination with the delivery of Direct-toConsumer energy sales to both residential and commercial consumers.
For further information, please contact: Leonard B. Van Betuw, President & Chief ExecutiveOfficer,
Peter Nesveda, VP, Investor Relations, International,or
Lars Glimhagen, Chief Financial Officer of
Avila Energy Corporation
Emails: Leonard B. Van Betuw: leonard.v@avilaenergy.com
Peter Nesveda: peter@intuitiveaustralia.com.au
Lars Glimhagen: lars.g@avilaenergy.com
ON BEHALF OF THE BOARD
Leonard B. Van Betuw
President & CEO
Contact phone number: (403) 451-2786 Ext 201
Abbreviations
bbls/d - barrels per day
BOE/d - barrels oil equivalent per day
NGLs - Natural Gas Liquids
Mboe - Thousands of barrels of oil equivalent
MMboe - Millions of barrels of oil equivalent
PDP - Proved Developed Producing
TP - Total Proved Reserves
TPP - Total Proved and Probable Reserves
IFRS - International Financial Reporting Standards as issued by theInternational Accounting Standards Board
WTI - West Texas Intermediate, the reference price paid in U.S.dollars at Cushing, Oklahoma for the crude oil standard grade
Forward-Looking Information &Forward-Looking Statements Cautionary Statement
Certain information in this newsrelease, including the operations at the Company’s properties,constitute forward-looking statements under applicable securitieslaws. Although Avila Energy Corporation believes that the expectations reflected in theseforward-looking statements are reasonable, undue reliance should notbe placed on them because Avila Energy Corporation can give noassurance that they will prove to be correct. Since forward-lookingstatements address future events and conditions, by their very naturethey involve inherent risks and uncertainties. The forward-lookingstatements contained in this news release are made as at the date ofthis news release and the Company does not undertake any obligation toupdate publicly or to revise any of the included forward-lookingstatements, whether as a result of new information, future events orotherwise, except as may be required by applicable securities laws.This release includes certain statements that may be deemed“forward-looking statements.” All statements in this release,other than statements of historical facts, that address futureproduction, reserve potential, exploration drilling, exploitationactivities and events or developments that the Company expects areforward looking statements. Although the Company believes theexpectations expressed in such forward-looking statements are based onreasonable assumptions, such statements are not guarantees of futureperformance and actual results or developments may differ materiallyfrom those in the forward-looking statements. Factors that could causeactual results to differ materially from those in forward lookingstatements include market prices, exploitation, and explorationsuccesses, continued availability of capital and financing, andgeneral economic, market or business conditions. It should not beassumed that the estimates of net present value of future net revenueattributable to the Company's reserves presented above represent thefair market value of the reserves. The recovery and reserve estimatesof the Company's oil, NGL, and natural gas reserves provided hereinare estimates only and there is no guarantee that the estimatedreserves will be recovered. Further, there is no assurance that theforecast prices and costs assumptions will be attained, and variancescould be material. Investors are cautioned that any such statementsare not guarantees of future performance and those actual results ordevelopments may differ materially from those projected in theforward-looking statements. Barrel ("bbl") of oil equivalent("boe") amounts may be misleading particularly if used inisolation. All boe conversions in this report are calculated using aconversion of six thousand cubic feet of natural gas to one equivalentbarrel of oil (6 mcf=1 bbl) and is based on an energy conversionmethod primarily applicable at the burner tip and does not represent avalue equivalency at the well head.
This news release shall notconstitute an offer to sell or the solicitation of any offer to buy,nor shall there be any sale of these securities in any jurisdiction inwhich such offer, solicitation or sale would be unlawful. Thesecurities offered have not been and will not be registered under theU.S. Securities Act of 1933, as amended, and may not be offered orsold in the United States absent registration or applicable exemptionfrom the registration requirements of the U.S. Securities Act andapplicable state securities laws. Trading in the securities of AvilaEnergy Corporation should be considered highly speculative.
Neither the Canadian SecuritiesExchange nor its Regulation Services Provider (as that term is definedin the policies of the Canadian Share Exchange) accepts responsibilityfor the adequacy or accuracy of this release. For more information onthe Company, Investors should review the Company’s registeredfilings which are available on SEDAR+ at www.sedarplus.ca .
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